I'm convinced the internet is a huge boon to traditional arts and crafts - the more "niche" a topic becomes, the bigger the risk of the communities fragmenting and dying off in isolation. The internet fixes that, because it's easier to maintain a core of enthusiasts, even if they are spread out over long distances.

It's not unlike how the internet has done amazing things for programming. Maybe you need a bit of extra help for other crafts, like adding video tutorials for the things that require a more "monkey see, monkey do" than a written approach. However, I'd say that in general it's easier than ever to keep a core community of masters of a craft alive, or revive it for that matter.

The internet also fixes the problem of sourcing supplies for a niche craft. It wasn't that long ago that you had to use giant mail order catalogs to get stuff shipped to you, and it'd be rare to get stuff sent internationally unless you happened to know a friend in the desired country who'd act as a middleman.

When machines are expensive, power is scarce (or unreliable) and much more difficult to transport - cheap labour will win.

I wholeheartedly agree with your post though. It may not be as common in the western countries as it used to be, but it is not lost.